A short, clear and complete theory that explains the origins and properties of the human humor instinct, which has been the subject of incomplete research for thousands of years. The paper's theory uses evolutionary psychology and a basic informal equation, and unites the findings of the previous theories, including explaining the logical basis behind many types of humor as well as the common sayings associated with it.

This paper introduces the "Status Loss Theory of Humor," as detailed in "How Humor Works" and "How Humor Works, Part II" , in a single page. This theory has the potential to fully, clearly, and naturally explain the human humor instinct, and has made predictions that are being confirmed by other studies.

This paper takes the Status Loss Theory (introduced and explained in the first "How Humor Works" paper), and applies it to 40 real-world examples, including memes, radio and TV shows, movie and comic book tropes, song parodies, humor sayings, stand-up comedy cliches, known psychological quirks of humor, and more, to demonstrate the theory's potential to function as the first clear, complete, logical, and simple basis for defining, studying, and understanding humor in all of its forms.